UK Stocks Fall as US Jobs Report Sparks Policy Tightening Fears

UK stocks retreated on Friday as traders digested the latest US jobs report, which strengthened bets on policy tightening. The London's FTSE 100 fell 0.3% to below 10,800.

Gilt yields remain elevated in the UK, with long-dated yields recently reaching multi-decade highs. According to BoE Chief Economist Huw Pill, higher rates now could limit the risk of more aggressive tightening later to tackle inflation fueled by the Iran war.

Mining stocks were among the weakest performers, with Anglo American, Rio Tinto, Glencore, and Antofagasta posting losses up to 1.8%. Experian slipped 5.1% after FHFA Director Bill Pulte accused credit agencies of overcharging consumers and flagged possible reforms to boost competition.

On the upside, Computacenter rallied 3.3% after UBS raised its price target, while Vodafone gained 2.6% after Goldman Sachs upgraded the stock to 'buy' from 'sell' and lifted its price target to 155p from 85p.